46. After careful planning, Collins Manufacturing Company has decided to switch to a just-In-Time Inventory System. At the beginning of this switch, Collins has 30 units of product in inventory ocolns has 2,000 labor hours available in the first month of the switch. Theses hours followed, how many a. 370 b. 400 . 430 d. 470 hours could produce 500 units and for this first month is 400 units. If Just In Time principles are correctly units should Collins plan to produce in the first month of the switch? 47. For a particular time period, a company has Sales of $400,000, Cost of Goods Manufactured of $180,000, Unadjusted Cost of Goods Sold of $200,000, and overapplied overhead of $12,000. The company uses normal costing. The overapplied overhead is totally closed to Cost of Goods Sold at the end of the period. Compute the gross profit (or gross margin) for the company for the time period a. $168,000 b. $188,000 c. $212,000 d. $232,000 e. None of the above A company uses normal costing. In a normal situation, which method of dealing with underapplied overhead is the most accurate? a. b. Allocating (prorating) the underapplied overhead. 48. Closing the underapplied overhead totally to Cost of Goods Sold A com total actual overhead for the year and got $90,000. The numbers really added up mistake is not caught and corrected, the Cost of Goods Manufactured for the com used normal costing. The accountant for the company made a mistake and added up the to $94,000. If the pany will be pany 49. a. b. C. Overstated because of the Mistake Understated because of the Mistake Unaffected by the Mistake The Total Cost of Prevention and Appraisal The Total Cost of Internal and External Failure The goal of studying quality costs is to minimize 50. b